Calidus Engineering: Innovating Downhole Solutions for Oil, Gas, and Geothermal Industries
Shaping the industry
Founded in 1999, Calidus Engineering provides a range of downhole services for both the subsea oil and gas and extreme geothermal engineering industries.
The UK-based company offers precision engineering, research and development, customised design and product manufacture from its sites across Falmouth, Redruth and Cornwall. Its key clients include READ Well Services, Baker Inteq, Halliburton and Norwegian-based Badger Explorer, which owns 50 per cent of the business.
Nigel Halladay, managing director and founder of Calidus Engineering, elaborates on what he believes to be the company’s key strengths: “We are operating in a niche area and our employees collectively have decades of experience between them in the design and manufacture of equipment for large oil companies. Calidus Engineering has the capabilities to research and develop new products and follow the process all the way through. It is very unique for companies in this part of the industry to possess the facilities to research, test and produce – and that is why we stand out.”
The recent success of Calidus Engineering has allowed it to grow at an astronomical rate over the past two years, expanding from 14 to 25 staff and almost doubling in turnover. Nigel doesn’t intend to stop there however, as he explains: “We have set ourselves the challenge of doubling our turnover yet again in a three year period, and we hope to up our staff numbers to 50. Through working with companies like Badger Explorer, our exposure will increase and we will take a larger proportion of the market share.”
This expansion strategy will be spearheaded by the opening of a new 18,000 square foot research and development centre, which will hold a manufacturing facility and warehousing area where the instruments built can be assembled and tested. Nigel is excited about the prospects this new development will bring to his company: “It will give us more credibility because, at the moment, we are operating out of several relatively small industrial units. Whilst these have served their purpose very well, we have been situated here for ten years and the time has now come to move on. Calidus Engineering needs bigger and better facilities to support its ambitions.”
The company is currently working on a fly-by-wire engineering system with Badger Explorer. This is a new concept that minimises the risk, cost and complexity of reservoir evaluation by using an autonomous drilling machine that buries itself into the seabed to obtain relevant data. Nigel explains the project: “After building the first prototype last year, we are now working with Badger Explorer to construct the second. We will then be undertaking field trials at the end of this year to investigate the performance of these prototypes.”
So innovative is the Badger Explorer fly-by-wire concept that Nigel believes it has the potential to shape the industry for the years to come: “This piece of equipment is a genuine game-changer that will revolutionise the approach to exploration drilling simply because it is significantly cheaper than any other conventional methods available today.”
Another key project that Calidus Engineering is working on at the moment is a production-logging tool that can operate at temperatures of up to 400°C. Nigel highlights: “This device is aimed specifically at the supercritical geothermal market, where water or steam is exceptionally hot, rising to temperatures of up to 400°C. We will conduct field tests for this device throughout October and November of this year and have already started to market spin-off products based on the success we predict, and have already achieved.”
Maintaining both quality and efficiency throughout all of these projects is an important aspect of Calidus Engineering’s philosophy, according to Nigel: “We are an ISO 9000 company and this is something we value and guard very carefully. As the saying goes, it takes years to build a reputation and only moments to destroy it, and so we ensure that everything we produce is of high quality. Any product that leaves our doors is our responsibility, and so we strive to uphold our high standards on every level possible.”
As the current financial crisis proves difficult for many companies within the oil and gas sector, Nigel says that Calidus Engineering has managed to steer clear of any major issues: “The sector of the oil and gas industry that we are involved with has seen relatively little impact from the recession. Whilst we are bracing ourselves for a potential delayed effect in 2010, there is still a definite market for growth.”
The future vision for Calidus Engineering certainly seems positive, as Nigel concludes: “In five years time we will have doubled again, certainly in terms of office facilities. We have already pencilled in another building, which is larger than the one we are in the process of commissioning. By continuing to work successfully alongside Badger Explorer, we will soon be at the forefront of this industry”
Calidus Engineering
Products: Customised downhole engineering equipment